DICT to limit common towers to big players

MANILA, Philippines — The Department of Information and Communications Technology (DICT) is limiting the country’s common tower landscape to only the big players who are capable of delivering hundreds of shared telecommunications infrastructure at the least.

Information and Communications Technology Secretary Eliseo Rio said while the country’s common tower policy initiative is being opened to all interested parties, only “key players” would be accommodated.

Rio said the government is not inclined to entertain “mom and pop” businesses looking to put up common towers that are less than 100, just like what is being done in countries such as Vietnam and Malaysia.

“Vietnam they now have 70,000 towers as against our less than 20,000. In Vietnam, almost roughly 15,000 of those towers are built by family enterprises, so they just put up one tower and have it rented out to the telcos. In Malaysia mom and pops also. They are giving out so many licenses,” Rio said.

limiting ours to those who have the capability to come up with at least 500,” he said.

Rio said the DICT would still have to decide on the final minimum requirement for the number of towers which the aspiring common towers would have to build in the country.

He said the range being looked at is from 100 to 500 towers at the least per provider.

The DICT wants the country to have 50,000 towers in seven to 10 years, or roughly 5,000 towers a year, under its common tower initiative.

So far, 12 aspiring tower providers have already signed their respective memoranda of understanding (MOU) with the DICT.

These are ISOC Infrastructures Inc., a company chaired by Megawide Construction Corp. co-founder Michael Cosiquien, ISON ECP Tower Singapore Pte. Ltd., Edotco Group Sdn Bhd and RT Telecom Sdn Bhd of Malaysia, IHS Towers, China Energy Equipment Co. Ltd., Aboitiz InfraCapital Inc., MGS Construction Inc., American Towers, Frontier Tower Associates Management, Phil Tower Consortium (Global Networks Inc. and JTower Inc.), and JS Cruz Construction and Development Inc.

Another local company is expected to sign an MOU with the DICT this week, bring the total number to 13.

Rio said the government would continue to accommodate interested tower providers as long as there is demand.

Under the MOUs signed with the 12 tower firms, the companies are mandated to secure first a business contract from the telcos for the DICT to provide assistance through facilitation of permits, right of way, and other government permits for infrastructure.  

The DICT said Smart, Globe, and the Mislatel consortium have expressed their willingness to collaborate for the smooth implementation of the common tower policy, which is expected to improve telecommunication services while lowering down its cost.